Recommended Types of PPP schemes

Type 1 – Pure BOT type

Government : ROW Acquisition

Private Sector : Design, construction and operation and maintenance;

       Investment will be recovered by toll revenue; and shoulder revenue risk

Type 2 – BOT Type with Government Subsidy/Financial Support

Government : ROW Acquisition, Up-front subsidy (50% maximum of total cost) or Government Financial Support (GFS)

Private Sector : Design, construction and operation and maintenance;

       Investment will be recovered by toll revenue; and shoulder revenue risk

Type 3 – Segment Dividing Type (Project will be divided into Government Segment and Private Segment)

Government : ROW Acquisition of both segments; Design and Construction of Government segment; and will be leased to the private sector at the lease fee of 0-100% of Government Expenditure

Private Sector : Design and Construction of Private segment; O&M of both segments; Investment will be recovered by toll revenue of both segments;

       Private Sector pays lease fee to the Government; and shoulder revenue risk

Type 4 – Service Payment Type

Government : ROW Acquisition; During O&M period, Government will pay to Private Sector service fee to recover its investments;  

Toll revenue will be turned over to the Government.  If toll revenue is not enough to pay the service fee, the Government will add a subsidy and shoulder revenue risk

 Private Sector : Design, construction and operation and maintenance;  and receive service fee annually to recover investments

Type 5 – Lease Type

Government : ROW Acquisition; and Design and Construction

Private Sector : O&M;  Leases the facility from the Government (Lease  fee ranges from 0-100% of Government Expenditures;) and shoulder  revenue  risk